Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1887-06-17
COFFEE MARKET PANIC.
The Widest Scenes ever Witnessed on
the Exchange-Three Firms Fail.
Bull Operators Rush to Sell without
Regard TO Prices Heavy Decline.
Prominent CalifOrnianS Tender Earl
of Aberdeen a Brilliant Reception.
THE COFFEE MARKET.
Prices Fall with Crash and Bulls Get Caught
Monday on Change.

Prices Fail with Crash ana bulls UeI IduS III
Monday on Change.
New York, June 13.-The excitement
in the coffee market, which has attended
the decline In coffee, reached its highest
to day, and the brokers acting for the
bull operators were panic stricken and
rushed to sell without regard to prices.
! The bulls blame the Grover Crossman
syndicate for starting tn decline which
! eliminated in to-day's panic, but the
| bear syndicate strained every nerve to
! check the fall without success. In fact
| the syndicate brokers were the only buy
ers at the opening which was at II cents
| a pound. over cent below Saturday 5
close. and although rally was cansed by
| the bears supporting the orders rumors
! of trouble and continued selling caused
them to stop buying and join the bulls in
unloading the stuff they had taken early.
All through the forenoon selling was con-
! tinued with the widest scenes ever wit
messed in the exchange. In the afternoon
there was some hope of rally but heavy
| selling continued and soon the price
| fell off In heavy fluctuations until
| it reached fifteen cents a pound
! This decline was accompanied by no
! tice of the suspension of three firms, B
| G.. Arnold Il Co., Norton, Weyle d Bevan
and Mackay d Small. After the an
nouncement of these failures an organ
lied effort was made by prominent houses
to sustain the market, and they succG eded
in causing rally of about one cent all
around. The failure of B. G.. Arnold &
Co. attracted the most attention, as they
were the most prominent house in the
trade, but it was anticipated. The senior
member of the firm was caught in 1882
by the collapse of one of the largest
deals eve~ attempted in coffee, and
was compelled to suspend for over
million dollars. He started in business
again and was successful in all his Won
lures. He ascribed the failure to the
fact that his customers were so far away
that it was impossible to reach them in
time to obtain sufficient margin to meet
the demand. He could make no state
NEST of his liabilities and could not say
about the chances of resuming. Outsld-
ers claim the firm has been carrying 5OO,-
10 bags of coffee for Rio de Janeiro
operators known as the Brazilian party
and the estimated liabilities will amour
to over $1,0OO,0O0. The Brazilian party
started to buy coffee after the Grover
Grossman syndicate had been bears on
the market, and they are said to have un-
loaded all their long stuff on the Brazil
ians. The extreme decline is from 2l.3O
cents two weeks ago, to 10 cents to
day, or over Ga cents pound. There
was some talk of trouble in banking
circles as the result of the panic but as
the banks only loaned so per cent. OF the
market value on coffee, it is hard to see
how any of them could have been involv-
ed. Mackay and Small one of the sus-
pended firms are supposed to have liablll-
ties of 100000. The liabilities of the
nthar l.-nns nra srn all